$16.$ On January $1,$ Year $12,$ Ball Co$.$ lent cash of $$116,851$ in exchange for a $$120,000$ note bearing interest at a rate of $6\%.$ The market rate in effect on the date the note was accepted was $7\%.$ What amount of interest revenue should be included in Ball's Year $12$ income statement?

A$.$ $$7,200$

B$.$ $$8,400$

C$.$ $$7,011$

D$.$ $$8,180$

E$.$ None of the above.

$17.$ Using the same information for Ball Co$.$ as above, what amount of interest receivable will be reported on the balance sheet at $12/31/$Year $12?$

A$.$ $$7,200$

B$.$ $$8,400$

C$.$ $$7,011$

D$.$ $$8,180$

E$.$ None of the above.

$18.$ Using the same information for Ball Co$.$ as above, calculate the carrying value of the note receivable that will be reported on the balance sheet at $12/31/$Year $13.$

A$.$ $$116,851$

B$.$ $$120,000$

C$.$ $$117,830$

D$.$ $$118,879$

E$.$ None of the above